Lesson 7.7.1
7.7.1 The marketing mix: price Quiz: OCR Business, Unit 7
20 questions
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Lesson 7.7.1, The marketing mix: price: 20 multiple choice questions for the OCR Business (H431), Unit 7: Marketing, written with Revision Ninja.
Host it live on the board and students join with a game code on their own devices, or revise alone with Free Play. The answers are revealed in the game.
The 20 questions
-
Which pricing strategy adds a set percentage margin onto the unit cost of production?
- Predatory pricing
- Price skimming
- Cost-plus pricing
- Penetration pricing
-
What pricing strategy involves setting a high initial price for an innovative new product?
- Penetration pricing
- Psychological pricing
- Price skimming
- Cost-plus pricing
-
Which strategy sets a low initial price to rapidly gain market share in a competitive market?
- Dynamic pricing
- Price discrimination
- Penetration pricing
- Price skimming
-
What name is given to setting prices below cost to force rivals out of the market?
- Psychological pricing
- Competitive pricing
- Predatory pricing
- Loss leader pricing
-
Which pricing tactic sells a product at a loss to encourage customers into a retail store?
- Loss leader pricing
- Penetration pricing
- Cost-plus pricing
- Predatory pricing
-
What pricing method adjusts prices in real time according to changes in market demand?
- Cost-plus pricing
- Competitive pricing
- Psychological pricing
- Dynamic pricing
-
Setting a price at £4.99 instead of £5.00 is an example of which pricing strategy?
- Price skimming
- Psychological pricing
- Cost-plus pricing
- Penetration pricing
-
Which pricing approach involves setting prices in line with or slightly below main rivals?
- Price skimming
- Loss leader pricing
- Competitive pricing
- Cost-plus pricing
-
If a product has price elastic demand, what happens to total revenue when price increases?
- It increases
- It remains constant
- It doubles
- It decreases
-
If a product has price inelastic demand, how should a firm adjust price to increase revenue?
- Offer half price
- Raise the price
- Lower the price
- Keep price equal
-
What pricing strategy charges different customer groups different prices for the exact same service?
- Price discrimination
- Dynamic pricing
- Cost-plus pricing
- Penetration pricing
-
A product costs £40 to produce. With a 25% cost-plus markup, what is the selling price?
- £60
- £45
- £55
- £50
-
A business cuts price from £10 to £8 and total revenue rises. What is the price elasticity?
- Perfectly inelastic
- Price elastic
- Price inelastic
- Unitary elastic
-
A tech manufacturer releases a revolutionary smartphone at £1,200 before gradually lowering the price. Which strategy is this?
- Price skimming
- Penetration pricing
- Loss leader pricing
- Predatory pricing
-
A supermarket sells £1 loaves of bread for 20p to increase store footfall. Which pricing strategy is used?
- Loss leader pricing
- Price skimming
- Predatory pricing
- Cost-plus pricing
-
An airline increases flight prices automatically as available seats decrease. Which pricing method is being applied?
- Dynamic pricing
- Psychological pricing
- Price discrimination
- Cost-plus pricing
-
A new snack brand enters a crowded market with a very low introductory price. What is this strategy?
- Predatory pricing
- Penetration pricing
- Price discrimination
- Price skimming
-
What primary factor establishes the theoretical price ceiling for a product in a market?
- Customer value perception
- Fixed overhead costs
- Break-even quantity
- Unit production cost
-
Why is predatory pricing regulated or declared illegal by competition authorities?
- It reduces competition
- It lowers quality
- It causes inflation
- It reduces demand
-
A firm produces a shirt for £20 and sells it for £30. What is the percentage mark-up?
- 10%
- 25%
- 50%
- 33%
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